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Rough road ahead in China for Audi

Most Audi dealerships in China haven’t made a profit for the past two years, as bad press and increasing competition have eroded sales figures in that country, but the corporate folks are planning on adding 50 additional dealerships over the next year or so. That will give Audi a total of 500 dealerships in China, as compared to 285 dealerships in The US.

Somehow, I can’t imagine that further expansion of dealerships will be popular with the Audi dealers who are already losing money.

Might it have something to do with lost sales to the Chinese knock-offs that look just the same? Clearly though they never heard the story about the two chicken farmers that sold 1000 chickens one year and lost a dollar each on them. After thinking about it, they decided to sell 2000 chickens the next year. Maybe math is different in China though.